Marketplace Morning Report for Monday, December 10, 2012

European markets are slumping this morning on news that the prime minister of Italy is resigning. Mario Monti -- whose technocratic government took power a year ago to fix the Italian economy -- says he'll step down as soon as next year's budget gets approved. In North Dakota, oil production is booming. Of course, there's still no pipeline to move the oil -- which is causing a boom for another industry: railroads. And, there is still a glut of foreclosed houses on the market, but it's not ordinary homebuyers who are benefitting.

You probably thought we forgot about Italy, what with all this business about Greece and Spain, but Italy is back this morning. Plus we've got a veritable cornucopia of important Democrats talking about the fiscal cliff -- by which I mean two. Republicans, you can return our calls any time. And Santa, if you're listening -- best keep your hatred of the Toronto Maple Leafs to yourself.

The last thing the global economy needed was more political upheaval in Europe. But that's what we're getting. Italian prime minister Mario Monti plans to resign, and there will be elections early in 2013.

A government watchdog released a report this morning that scrutinizes the pay of senior staffers at Freddie Mac and Fannie Mae. The report is from the inspector general of the Federal Housing Finance Agency, which oversees Fannie and Freddie.